On June 23, local time, according to the US Drilling website, the Bank of America Global Research Center predicted in a new report sent to the US drilling site that the average price of Brent crude oil will reach 102 per barrel this year and 2023. U.S. dollar, and stressed that Brent could surge to $150 a barrel if European sanctions force major countries to produce less than 9 million barrels a day.
However, with forward oil prices firmly anchored in the long-term $60-$80 per barrel range, the market does not appear to be pricing in a 10-year supply crisis,” Bank of America Global Research said in a note .
BofA Global Research added: “As a result, the extension of energy sanctions could act as a price bottom, even if the risk of a near-term fall in spot oil prices increases. Even in the event of a global recession, we estimate Brent crude oil prices to fall in 2023. The average price could also exceed $75 a barrel.”
In the report, BofA also said: “Rising inflationary pressures in sectors ranging from food and energy to services, combined with rapidly rising interest rates, appear to suggest that it will be difficult for oil demand to fully recover to pre-pandemic levels until next year. .”
It then added: “The geopolitical conflict behind today’s massive refinery bottlenecks is setting the stage for huge U.S. energy (SPR release, export restrictions), U.S. foreign (visit Saudi Arabia) and U.S. currency (75bps rate hike) policy. Coping pave the way.”
“How will the destruction of oil demand end?” Large energy importers such as India, Turkey, South Africa, Japan, Germany or Spain are most at risk of shrinking demand due to a stronger dollar. “BofA Global Research continues to publish this report.
Bank of America Global Research said in a report that global oil demand could increase by 1.7 million barrels per day by 2023 if supply from major countries does not fall below 10 million barrels per day. According to the output table of the latest OPEC+ meeting statement released on the OPEC website on June 2, the “daily crude oil production required by the major countries” in July this year was 10.83 million barrels per day.